The Software Stock That Could Be 2026's Biggest Surprise

It's been a less-than-thrilling past few months for investors in Palantir Technologies (NASDAQ: PLTR), but understandably so. Shares of the artificial intelligence software powerhouse remain outrageously valued at over 200 times 2025's expected profits of $0.72 per share. And investors are increasingly nervous that most AI stocks are in a bubble that's about to pop. That's certainly no recipe for bullishness.However, the new year is now well underway, and we're seeing no concrete evidence yet that the artificial intelligence revolution isn't going to deliver as hoped, so Palantir's stock price may well perk up soon. If it does, one factor fanning those bullish flames will be the market's growing comprehension of how this particular software company's business model works.Developing and coding AI platforms like those that Palantir offers to its customers -- which range from AT&T to Novartis to the Department of Defense, to name just a few -- is neither easy, cheap, nor quick. Once those core software platforms are complete, though, deploying them for new customers is relatively easy with only modest tweaks. Thus, the more Palantir grows, the more profitable -- and higher margin -- its business becomes.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool